The government of Mozambique has signed agreements with Italian energy group Eni and US oil and gas group Anadarko on the development of two LNG projects in the Cabo Delgado province, where large gas reserves have been discovered.
Eni plans to invest US$8bn in the Coral South gas field in the Rovuma Basin off the coast of Mozambique. The Coral field, discovered in May 2012 and outlined in 2013, is entirely located within Area 4 (estimated to hold 85 tcf or 2,400 bcm of gas) and contains about 450 bcm of gas in place. Eni and its partners (Eni 50%, CNPC 20%, ENH, Kogas and Galp Energia 10% each) plan to build a 3.4 Mt/year floating LNG (FLNG) plant. The production of LNG is set to start in 2022 and all the gas produced from the FLNG plant will be sold to British Petroleum (BP) over a 20-year period.
Anadarko and its partners (Anadarko 26.5%, Mitsui 20%, ONGC 16%, ENH 15%, Bharat PetroResources 10%, PTTEP 8.5% and Oil India (4%) are developing the US$15bn Mozambique LNG (MLNG) project. It will consist of two initial LNG trains with a capacity of 12 Mt/year and was approved by the government at the end of 2016. First production is expected in 2021.
Mozambique plans to invest US$30bn in its natural gas sector and hopes to produce 20 Mt/year of LNG. The first exports are due to start in 2021.